Financial Responsibility & Weddings On Credit
A recent article in the Washington Post points to a growing trend of couples borrowing money to pay for their weddings. Sometimes it’s not just the couple, it’s the parents and even grandparents signing loan documents to pay for a wedding.
The average wedding loan according to online lender, Earnest, is $16,000, over three years at rates ranging from 7-18%.
As one 62 year old mom, Mrs. Naklicki put it, “There’s so much more to pay for now. These kids have photo booths and videographers. There was none of that when I got married.”
Indeed, there was none of that when you got married because your parents didn’t spring for it but you are!
A 26 year old groom -to- be was also referenced. He borrowed money for an engagement ring — a diamond solitaire picked out from Tiffany & Co. The couple is now “asking family members if they can help (pay for the wedding). But we might be back for another loan.”
I’m going to tell you why financing a wedding (and jewelry from Tiffany!) is not only irresponsible, but a bad idea for longterm bliss.
3 Causes of Divorce
The three biggest fighting, fracturing, and divorce -causing subjects within a marriage are: child rearing, sex, and money. Money mismanagement causes strife. Debt creates stress. Why would you want to start your life together with unnecessary stress and strife?
The tradition of gift giving came about to set the young couple up with what they needed for a household. With marriage ages getting older, the bride and groom likely don’t need a skillet. They also don’t need $30,000 of debt! So, you’ve got two choices: hold off on getting married or scale down your production.
2 Rules For Wedded (and Financial) Bliss
Always remember these two rules of life and finance. They’ll serve you well, way beyond your wedding day.
The people you’re trying to impress with extravagances you can’t afford, don’t matter. The people who do matter are there for you, not for the extravagances.
Only borrow money for that which makes you money or increases in value. Done right, your marriage will be richer 50 years after saying “I do.” Just realize that’s going to happen because of you and your partner, not because of borrowed money.
Damian Mason is a self-made businessman, author, speaker, farm owner, podcaster, and social commentator. He and his lovely wife Lori were married in a classy, yet affordable ceremony way back in 2000. For speaking, books, or other info visit www.damianmason.com